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HomeMy WebLinkAboutTitle 5, 16, 17 Amendments (CODE-0149-2026) - CC Presentation 5.5.2026 (1)Amendments to Title 5 (Licenses, Permits, and Regulations),Title 16 (Subdivision Regulations), and Title 17 (Zoning Regulations) of the City’s Municipal Code (CODE-0149-2026) May 5, 2026 Good evening, Mayor Stewart and Council members, as mentioned already, my name is Ethan Estrada, I am an Assistant Planner for CDD, and I will be presenting the proposed amendments to Titles 5, 16, and 17 of the City’s Municipal Code. 1 Recommendation Introduce a Draft Ordinance entitled: “An Ordinance of the City Council of the City of San Luis Obispo, California, Amending Title 16 (Subdivision Regulations), Title 17 (Zoning Regulations), and Title 5 (Licenses, Permits, and Regulations) of the Municipal Code regarding Accessory Dwelling Units, Junior Accessory Dwelling Units, Urban Lot Splits, Mobile Homes, and other Clarifications and Changes to Regulations Associated with Housing, with an Exemption from Environmental Review (CEQA).” The recommendation before you tonight is for your Council to introduce a Draft Ordinance entitled “An Ordinance of the City Council of the City of San Luis Obispo, California, Amending Title 16 (Subdivision Regulations), Title 17 (Zoning Regulations), and Title 5 (Licenses, Permits, and Regulations) of the Municipal Code regarding Accessory Dwelling Units, Junior Accessory Dwelling Units, Urban Lot Splits, Mobile Homes, and other Clarifications and Changes to Regulations Associated with Housing, with an Exemption from Environmental Review (CEQA).” 2 Summary Proposed amendments would: • Incorporate new legislation regarding urban lot splits • Address inconsistencies between state law and the code • Remove barriers to housing development • Incorporate miscellaneous changes that address conflicts within the Municipal Code and other changes The proposed code amendments before you tonight would incorporate new legislation pertaining to minor urban lot splits, address inconsistencies between state law and the City’s Municipal Code, remove barriers to housing development identified by the public and staff, and incorporate a variety of miscellaneous changes that address potential conflicts within the code and other changes. With that, we’ll start with amendments pertaining to ADUs and JADUs as provided in Title 17 of the Municipal Code. 3 Accessory & Junior Accessory Dwelling Units Clarify height and setback limits for ADUs • Mirror state law – no substantial change to what’s already allowed Defer to underlying zone standard for maximum ADU height • Potentially increase ADU development in multifamily zones Remove provision regarding “two-step” to “one-step process” • Introduced in 2024 code update – can be interpreted as inconsistent with state law • Has not been utilized Staff propose several amendments that would introduce new language and alter existing language regarding height and setback limits for ADUs as provided under state law. These specific limits are already imposed where applicable, so these amendments would not result in any substantial changes to what’s already allowed. Another proposed amendment would defer maximum height limits for ADUs to the standards in the underlying zone, where currently the maximum ADU height in any zone is 25 feet. This could potentially increase ADU development opportunities in zones like the R-2, R-3, and R-4 zones, which allow a maximum structure height of 35 feet. Staff also propose to remove a provision of the ADU code regarding a “two-step” approval process for certain ADU conversion projects. In 2024, this provision was added to create a one-step permit process where two were initially required for certain cases. However, since its implementation, it has been found to potentially conflict with state law and has not been utilized to any great effect. 4 Accessory & Junior Accessory Dwelling Units Exceptions to Discretionary Review • If consistent with applicable standards, ADUs and JADUs are exempt from discretionary review “Attached” ADU v. “Detached” ADU • Adds language to definition to differentiate between attached and detached ADUs Lot Coverage Clarification • Per state law, the first 800 square feet of ADU building footprint is exempt from lot coverage requirements Several other proposed amendments would add language that clearly excludes ADUs and JADUs consistent with applicable standards from discretionary review as is required by state law. And lastly, staff propose amendments that would expand the definition of ADUs to clarify between attached and detached, as well as an existing provision that exempts ADUs from lot coverage requirements up to the first 800 square feet of ADU building footprint as required by state law. 5 Minor Urban Lot Splits Assembly Bill 1061 now permits minor urban lot splits within historic districts • Minor urban lot splits are still prohibited on sites that are listed as historic resources (by either the state or city) • Minor urban lot splits are still prohibited if the alteration or demolition of a historic resource is required to facilitate the subdivision Staff proposes an amendment to the Subdivision Regulations to maintain consistency with state law Now looking at Minor Urban Lot Splits as provided in Title 16 of the Municipal Code. Passed last year, Assembly Bill 1061 introduced provisions to state law that no longer allow local agencies to prohibit a minor urban lot split subdivision based on a site being located within a historic district. State law does still allow agencies to prohibit this type of subdivision on sites that are listed as historic resources, as well as where the alteration or demolition of a historic resource is required to facilitate the subdivision. So, staff has proposed an amendment to the Subdivision Regulations pertaining to minor urban lot splits to maintain consistency with state law. 6 Mobile Homes Per AB 2782, the City is no longer required to exclude long-term space leases from its mobile home park rent stabilization ordinance (SLOMC 5.44) • Per Council direction, staff propose an amendment to Ch. 5.44 to remove this exemption Staff identified a provision of SLOMC 5.44 regarding an exemption process for a section of this chapter that no longer exists • Staff proposes removal of this provision Moving along to Mobile Homes as provided in Title 5 of the Municipal Code. With Assembly Bill 2782 having gone into effect, the City is no longer required to exclude long-term space leases from its mobile home park rent stabilization ordinance provided under Chapter 5.44 of the Municipal Code. Per Council direction, staff has proposed an amendment to this chapter to remove this exemption in accordance with state law. Additionally, in review of Chapter 5.44, staff identified a provision that provides an exemption process for a section of this chapter that was removed in a prior code update. Staff proposes the removal of this provision. 7 Density Bonus – Fractional Density SLOMC 17.140.040 does not specify whether to use fractional density units or “dwelling units per acre” when calculating density bonus units. • Allows an applicant to maximize the number of market-rate units they can while limiting the number of affordable units they must provide Staff proposes an amendment requiring the consistent use of either fractional density units or “dwelling units per acre” as provided in Density Bonus Law (Section 65915) when calculating density bonus units Looking at Affordable Housing Incentives as provided in Title 17 of the Municipal Code. Currently, Chapter 17.140 of the Municipal Code pertaining to affordable housing incentives for density bonus projects does not specify whether an applicant must use fractional density as provided in Chapter 17.70 of the Municipal Code or “dwelling units per acre” as provided in Density Bonus Law when calculating the number of market-rate and affordable units that can be built as part of a density bonus project. Under the current code, applicants can maximize the number of market-rate units that can be built via fractional density while minimizing the number of affordable units to be provided via “dwelling units per acre.” To avoid this, staff proposes an amendment that would require an applicant to choose either fractional density or “dwelling units per acre” when calculating all density bonus units. 8 Miscellaneous Changes Homestay Permits • Proposed amendment to SLOMC 17.86.160 clarifying requirements that must be complied with on a continuous basis, not just upon application for a permit Accessory Structures • Proposed amendments to SLOMC 17.70.010 to update terms used and adjust or remove language that is inconsistent with state law • Removes requirement for a covenant agreement for an accessory structure Driveway Visibility • Adds a subsection to SLOMC 17.70.210 to mirror current Engineering Standard 7950 – prohibits structures that are three feet or taller within a specific site visibility zone at driveway approaches Finally, looking at miscellaneous changes throughout Title 17 of the Municipal Code. Staff propose an amendment to Section 17.86.160 pertaining to Homestay Permits, clarifying that applicable requirements must be complied with on a continuous basis, not just upon application for a permit. Regarding accessory structures under Section 17.70.010, several proposed amendments would address an inconsistency with state law pertaining to ADUs and refresh some of the language used to maintain consistency with other sections of the code. Staff also propose an amendment that would remove a requirement for property owners to enter a covenant agreement to permit an accessory structure on their property. Looking at Section 17.70.210 pertaining to vision clearance standards, staff proposes the addition of a new subsection regarding driveway visibility standards as provided under Engineering Standard 7950. 9 Miscellaneous Changes Use Permit Clarification for General Retail • Proposed amendment to Table 2-1 of SLOMC 17.10 that would mark General Retail as an allowed use in the C-N zone when the floor area is 2,000 square feet or less. Setback Clarification for Decks • Proposed amendment to SLOMC 17.70.170 to clarify that decks with a height of 30 inches or more are subject to side and rear setback requirements Additionally, staff propose an amendment to Table 2-1 provided under Chapter 17.10 regarding allowed uses to correct an error identified by staff. The table currently says a minor use permit is required for general retail in the C-N zone when one is not required when the floor area of the commercial unit is 2,000 square feet or less. And lastly, staff propose an amendment to Section 17.70.170 to further clarify that decks with a height of 30 inches or more are subject to side and rear setback requirements. 10 General Plan Consistency 6th Cycle Housing Element The proposed amendments to Title 5, Title 16, and Title 17 are consistent with various policies under the City’s 6th Cycle Housing Element: • Policy 2.4 – encourage housing production for all financial strata of the City’s populations… • Policy 6.8 – to meet the 6 th Cycle RHNA production targets, the City will support residential infill development and promote a higher residential density where appropriate • Policy 8.1 – encourage housing development that meets a variety of special needs, including large families, single parents, disabled persons, the elderly, students, veterans, farmworkers, the homeless… Regarding General Plan Consistency, the proposed code amendments before you tonight are consistent with a variety of policies in the City’s Housing Element. This includes policies that encourage housing production, infill development, and increased density across our housing continuum. 11 Recommendation Introduce a Draft Ordinance entitled: “An Ordinance of the City Council of the City of San Luis Obispo, California, Amending Title 16 (Subdivision Regulations), Title 17 (Zoning Regulations), and Title 5 (Licenses, Permits, and Regulations) of the Municipal Code regarding Accessory Dwelling Units, Junior Accessory Dwelling Units, Urban Lot Splits, Mobile Homes, and other Clarifications and Changes to Regulations Associated with Housing, with an Exemption from Environmental Review (CEQA).” And that concludes my presentation, thank you. 12